The Senate has approved a House bill that would change the definition of modified adjusted gross income under the healthcare reform law, according to an AHA News Now report.

Under the healthcare reform law, modified adjusted gross income will be used to determine financial eligibility for Medicaid and the State Children's Health Insurance Program beginning in 2014.

The House bill would reform the definition of modified adjusted gross income to include both taxable and nontaxable Social Security benefits. It would also repeal the 3 percent withholding provision on some payments made to government contractors.